Russia is raising oil output for a third month in a row, even as sales to China and India are dropping off
Russia's oiloutput is rising for the third consecutive month, despite falling deliveries to China and India.
- It produced 10.78 million barrels a day in the first half of July — a 0.6% gain from June, per Bloomberg.
Russia has ramped up its oil production for the third consecutive month despite a fall-off in deliveries to India and China, as domestic buyers step in, according to a Bloomberg report.
Rising demand from buyers at home in the first half of July helped Moscow make up a slight drop in exports to main
The oil-rich nation pumped an average 10.78 million barrels a day from July 1-17. That's a rise of 0.6% from the comparable June level — marking a faltering in the pace of recovery for Russian oil output, after a 5% rise in June.
Its production initially fell in March and April after Russia began its war on
Now, though, its crude shipments to China and India — which in June accounted for 50% of Russia's seaborne oil exports — have dropped nearly 30% from their peak after the war in Ukraine began. Flows to Asia hit their lowest four-week average in nearly four months, when they slipped to 3.24 million barrels a day in the week to July 15.
Offsetting some of those foreign declines, Russian refineries have stepped up their runs, and supplies to domestic facilities were 6% above the average for June at 5.75 million barrels a day.
Russia has been reeling in hefty profits from selling its oil at cheaper prices to Asia since the country invaded Ukraine. Its sales have helped the Kremlin add $9.5 billion to an emergency fund, even as sanctions batter its economy.
For Moscow to suffer a hit to oil income from a drop in foreign buyers, global demand overall would need to fall, analysts have said — something that's unlikely to happen.
- Astronomers find planet that seems too humongous to be orbiting its parent star!
- Penguins employ thousands of microsleeps to achieve 11 hours' slumber daily!
- Ashok Gehlot: Magician leaves centre stage in Rajasthan
- Trauma made Abrar an 'Animal': Bobby Deol on his negative role
- Victory of Modi's guarantees, say BJP leaders as party sweeps states states